From Automation to Co-creation: A Systematic Review of Generative and Predictive AI in Advertising and Its Implications in Education

Artificial intelligence (AI) is transforming the advertising industry by reshaping how content is conceived, personalised and delivered. This study applies the SPAR-4-SLR protocol to systematically review the dual role of AI in advertising, with a focus on comparing generative AI and predictive AI (PAI) and examining their implications for advertising practice, consumer engagement and advertising education. Generative AI facilitates automated creativity through technologies such as deepfakes and personalised ad development, while PAI enhances audience segmentation and sentiment analysis. Based on an analysis of 42 peer-reviewed articles published between 2019 and 2025, the review categorises applications, benefits and emerging challenges. Findings indicate that generative AI improves creative efficiency and personalisation but raises ethical concerns surrounding authenticity, ownership and consumer trust. PAI enhances not only targeting precision and decision-making but introduces issues related to privacy, bias and transparency. The analysis highlights AI’s dual role in enhancing short-term advertising efficiency through personalisation, segmentation and automated creative generation, and in shaping long-term brand outcomes, including trust, loyalty and perceptions of authenticity. The study identifies key thematic clusters: (a) PAI for data-driven targeting and behavioural forecasting, and (b) generative AI for automated content production and creative augmentation. Ethical considerations surrounding transparency, bias, privacy and deepfake-based persuasion emerge as central challenges. The findings underscore the need for updated pedagogical frameworks in advertising education, emphasising AI literacy, ethical reasoning and creative–computational collaboration. This review concludes by outlining an agenda for future research on AI-supported advertising practices and the evolving intersection of machine intelligence, creativity and advertising instruction.